Qip would provide much needed stability to the bank and equip it for next level of growth. 500mn is small compared to what they would need and have raised in the past. I guess Yes Bank would come back with a bigger capital raising plans after a few qtrs at higher price and better market conditions.
In recent history history of Yes Bank:
-
Legal battle in the family (RK v/s Ashok Kapur)
Did you know, Ashok was killed in Mumbai Terrorist attack. -
Failed QiP (withdrawn with the hour, seeing the failure)
-
NPA issueā¦ feels like a normal day at YB.
All of these are major issues, which cannot be ignored. For a retail investor, there are so many other fish in the pond.
On NPA issue - are we doubting the RBI audit report that has clearly given clean chit for FY18 NPA ā¦it was a NIL divergence ā¦in that case why you think there is NPA issue ?
Can you please substantiate it with some data/details
Thanks
Promoter issue(Kapur vs Kapoor) has been there for ages, but still stock went up 5-6 times during that time.
RBI No Divergence was the key trigger for re-rating. Let the results come, soon market would start focusing on:
- New roadmap shared by Ravneet Gill
- Capital raising plans and revised growth estimates
- Tail wind of corporate banks
All in all, results + capital raising hold the key. Despite all issues in the past, results have been brilliant 9 out of 10 times. It has remained a preferred choice of work for young talent. 5 & 10 year market returns are similar to HDFC Bank. Company has fallen similarly in 2009 and 2013 and has given tremendous returns once the tide turns.
Disc: Invested in recent fall, highest holding
Please do give examples.
With the appointmet of ceo, promoters have reached truceā¦
This is dated 29 th Jan 19.
I think you are not uodated with latest development and still living in 2018 era, all above listed issues have been sorted out. Yes Bank has a professional CEO & MD now. ART belongs to Rana Kapoor, he is only promotor now. No conflict of interest now
āIn the world of business, bad news often surfaces serially: you see a cockroach in your kitchen; as the days go by, you meet his relatives,ā
WB wrote to his shareholders, in regard to his decision to sell shares of Tesco, after the management overstated the earnings.
Pardon my reminding you of the risks in Yes Bank. Here comes more, I think RK is still in control of the reins. And he ought to be, with a parallel business running in conflict with the interest of the bank. This, Art financials, wonāt see the light of day without RK, as it is a financial entity and requires money to run lending operations. And guess what might be the source of this funding?
Itās logo too resembles YBās.
And what if things go wrong with ART, who bleeds? Itās promoters, who are promoters for YB as well.
I donāt think the RBI directive to fire RK as CEO has severed RKs vested interests in ART and it numerous subsidiaries.
I think RK has some control over where the money goes from Yes Bank, and complete say in ART, which is his priority.
Letās see what kind of cockroaches come out in the days to come.
Or should we just forget about all of this because it surfaced in 2018?
Respected Sir,
Your position on Yes Bank is very clear! And we are thankful that you are making the investors aware of the risks to retail investors.
Unfortunately, most Yes Bank investors are well aware of the risks as they have been listed time and again on this forum and many other places! And you are not helping the cause after a certain stage by repeating well know information.
The negative noise around Yes Bank was the loudest when the stock was at the lowest. I feel sorry for those retail investors who might have read this forum and sold their holdings at those lows.
Yes Bank might not be the bluest of the blue chip or even a blue chip, but is is definitely not your run of the mill company run by fly by night operators.
My humble request to you point us towards any new issues in Yes Bank that a retail investor might have missed.
Thank you
Its true that Yes bank had lot of negativity & had suffered big blow by loosing more than 60% market cap from top. Few issues are addressed & few will be addressed with time.
I feel the most serious issue to watch is the impact of cleanup activity by Mr Ravneet Gil on books considering Mr Rana Kapoor is still influencing & he is not out completely. If Ravneet Gilās activities remain shadowed by Rana Kapoor, the expected book cleanup may take longer & RBI will remain on toes with stick in hand.
There is another aspect of the crisis, when we suspect RBIs role as we saw in later stage, where they objected partial disclosure of certain documents. If we go with this & upcoming results will be stronger as usualā¦ and then we see just northward journeyā¦ will be interested in Q4 results
What do you mean by book cleanup? Yes Bank has gross NPA of 2% even after accounting IL&FS 75% provisioning, even Indusind is yet to take 1900 cr in final results orivisioning. Three main issues were DHFL loans, DHFL will be taken care by piramals, Zee loans colletral is Dish Stock, Singtel buying Dish hence no issues, dish rose from 23 to 49 now. Coming to Rnavel, lons are 490 cr and backed by good assests of AA. Even moody said asset quality of Yes Bank is good. Rana Kapoor has even shifted from BKC where Yes has its head quarters on request of bank. This is my favourate stock for portfolio as well as trading. Disclosure: invested and 25% of my portfolio.
RBI cited following reasons & hope we get them addressed with time only
- Weak compliance culture in Yes
- Weak Governance In Yes
- Wrong asset Qualification
Thatās not accurate ,no one knows exactly what RBI stated ā¦all these are highlighted by media .
Though I donāt think reality would be very different I just wanted to clarify that actual communication of RBI isnāt in public domain yet
Yes bank isnāt in BKC ā¦their HQ is in lower parel India bulls building.
I visit them 3 out of 5 days every week and everything appears to be absolutely normal and Mr Gill has taken the charge which I can feel based on my interactions with yes bank employees
Just saying that its NOT accurate doesnāt add value to the thread. Hope you are aware that most of the discussions & information is based on content available in media (social / print/ electronic etc). I am not sure if you donāt watch / follow media to get information for companies you are invested.
I will wait for your update when you share the actual communication of RBIā¦ although that will be irrelevant at that time because Mr market might have punished / rewarded scrip well before you get it.
Yes Bank HQ is in the Indiabulls building near Elphistone Road station.
Ok, thanks, basic information was that RK is keeping away from Yes Bank affairs, it is required as his holdings are pledged nd he will need money in future if his private ventures performs badly, logically, there should be no issues internally now which RK might have ensured before leaving making sure stock price dont tank again to below 170 levels else his pledger holdings might be sold off in market.
Yes Bank Ranked #14 among best companies to work for, #1 among Banks by LinkedIn